CINEMARK HOLDINGS INC (CNK)
US17243V1026 - Common Stock
We assign a fundamental rating of 4 out of 10 to CNK. CNK was compared to 72 industry peers in the Entertainment industry. While CNK is still in line with the averages on profitability rating, there are concerns on its financial health. CNK has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CNK had positive earnings in the past year.
CNK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: CNK reported negative net income in multiple years.
CNK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.78%, CNK is in the better half of the industry, outperforming 78.87% of the companies in the same industry.
Looking at the Return On Equity, with a value of 42.23%, CNK belongs to the top of the industry, outperforming 94.37% of the companies in the same industry.
CNK has a Return On Invested Capital of 6.68%. This is in the better half of the industry: CNK outperforms 77.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.78% | ||
| ROE | 42.23% | ||
| ROIC | 6.68% |
ROA(3y)-3.23%
ROA(5y)-3.49%
ROE(3y)-104.01%
ROE(5y)-75.3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CNK's Profit Margin of 8.20% is amongst the best of the industry. CNK outperforms 83.10% of its industry peers.
In the last couple of years the Profit Margin of CNK has declined.
Looking at the Operating Margin, with a value of 10.15%, CNK is in the better half of the industry, outperforming 76.06% of the companies in the same industry.
CNK's Operating Margin has declined in the last couple of years.
CNK has a better Gross Margin (64.89%) than 76.06% of its industry peers.
In the last couple of years the Gross Margin of CNK has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.15% | ||
| PM (TTM) | 8.2% | ||
| GM | 64.89% |
OM growth 3YN/A
OM growth 5Y-3.2%
PM growth 3YN/A
PM growth 5Y-1.8%
GM growth 3Y-0.58%
GM growth 5Y0.38%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CNK is destroying value.
CNK has more shares outstanding than it did 1 year ago.
CNK has more shares outstanding than it did 5 years ago.
CNK has a better debt/assets ratio than last year.
2.2 Solvency
CNK has an Altman-Z score of 1.23. This is a bad value and indicates that CNK is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.23, CNK is in line with its industry, outperforming 50.70% of the companies in the same industry.
The Debt to FCF ratio of CNK is 10.72, which is on the high side as it means it would take CNK, 10.72 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 10.72, CNK is doing good in the industry, outperforming 61.97% of the companies in the same industry.
CNK has a Debt/Equity ratio of 3.52. This is a high value indicating a heavy dependency on external financing.
CNK has a worse Debt to Equity ratio (3.52) than 77.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.52 | ||
| Debt/FCF | 10.72 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.88
WACC7.59%
2.3 Liquidity
CNK has a Current Ratio of 0.98. This is a bad value and indicates that CNK is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.98, CNK is in line with its industry, outperforming 49.30% of the companies in the same industry.
CNK has a Quick Ratio of 0.98. This is a bad value and indicates that CNK is not financially healthy enough and could expect problems in meeting its short term obligations.
CNK has a Quick ratio (0.96) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
CNK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 176.79%, which is quite impressive.
Measured over the past years, CNK shows a decrease in Earnings Per Share. The EPS has been decreasing by -8.99% on average per year.
The Revenue has decreased by -5.07% in the past year.
Measured over the past years, CNK shows a decrease in Revenue. The Revenue has been decreasing by -0.98% on average per year.
EPS 1Y (TTM)176.79%
EPS 3YN/A
EPS 5Y-8.99%
EPS Q2Q%95.08%
Revenue 1Y (TTM)-5.07%
Revenue growth 3Y64.71%
Revenue growth 5Y-0.98%
Sales Q2Q%5.37%
3.2 Future
Based on estimates for the next years, CNK will show a small growth in Earnings Per Share. The EPS will grow by 0.65% on average per year.
The Revenue is expected to grow by 1.80% on average over the next years.
EPS Next Y66.92%
EPS Next 2Y28.44%
EPS Next 3Y24.65%
EPS Next 5Y0.65%
Revenue Next Year-0.88%
Revenue Next 2Y4.87%
Revenue Next 3Y5.13%
Revenue Next 5Y1.8%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.91 indicates a rather expensive valuation of CNK.
Based on the Price/Earnings ratio, CNK is valued a bit cheaper than 77.46% of the companies in the same industry.
CNK is valuated rather cheaply when we compare the Price/Earnings ratio to 27.54, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 15.21, CNK is valued correctly.
CNK's Price/Forward Earnings ratio is rather cheap when compared to the industry. CNK is cheaper than 84.51% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.99, CNK is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.91 | ||
| Fwd PE | 15.21 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CNK indicates a somewhat cheap valuation: CNK is cheaper than 71.83% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CNK indicates a rather cheap valuation: CNK is cheaper than 83.10% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.56 | ||
| EV/EBITDA | 10.76 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CNK's earnings are expected to grow with 24.65% in the coming years.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y28.44%
EPS Next 3Y24.65%
5. Dividend
5.1 Amount
No dividends for CNK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CINEMARK HOLDINGS INC
NYSE:CNK (12/26/2024, 3:02:55 PM)
30.865
+0.15 (+0.5%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners118.8%
Inst Owner Change-0.63%
Ins Owners2.44%
Ins Owner Change-3.61%
Market Cap3.78B
Analysts73.33
Price Target32.92 (6.66%)
Short Float %22.22%
Short Ratio9.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)181.96%
Min EPS beat(2)109.69%
Max EPS beat(2)254.24%
EPS beat(4)3
Avg EPS beat(4)137.58%
Min EPS beat(4)-12.61%
Max EPS beat(4)254.24%
EPS beat(8)6
Avg EPS beat(8)54.89%
EPS beat(12)7
Avg EPS beat(12)13.13%
EPS beat(16)7
Avg EPS beat(16)5%
Revenue beat(2)2
Avg Revenue beat(2)4.15%
Min Revenue beat(2)3.21%
Max Revenue beat(2)5.09%
Revenue beat(4)4
Avg Revenue beat(4)3.18%
Min Revenue beat(4)2.08%
Max Revenue beat(4)5.09%
Revenue beat(8)7
Avg Revenue beat(8)3.29%
Revenue beat(12)11
Avg Revenue beat(12)3.59%
Revenue beat(16)14
Avg Revenue beat(16)8.78%
PT rev (1m)9.4%
PT rev (3m)19.97%
EPS NQ rev (1m)-5.54%
EPS NQ rev (3m)-30.64%
EPS NY rev (1m)11.59%
EPS NY rev (3m)53.27%
Revenue NQ rev (1m)-0.71%
Revenue NQ rev (3m)0.92%
Revenue NY rev (1m)0.23%
Revenue NY rev (3m)2.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.91 | ||
| Fwd PE | 15.21 | ||
| P/S | 1.31 | ||
| P/FCF | 16.56 | ||
| P/OCF | 9.99 | ||
| P/B | 6.76 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.76 |
EPS(TTM)1.55
EY5.02%
EPS(NY)2.03
Fwd EY6.57%
FCF(TTM)1.86
FCFY6.04%
OCF(TTM)3.09
OCFY10.01%
SpS23.49
BVpS4.56
TBVpS-8.08
PEG (NY)0.3
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.78% | ||
| ROE | 42.23% | ||
| ROCE | 7.72% | ||
| ROIC | 6.68% | ||
| ROICexc | 8.86% | ||
| ROICexgc | 19.36% | ||
| OM | 10.15% | ||
| PM (TTM) | 8.2% | ||
| GM | 64.89% | ||
| FCFM | 7.94% |
ROA(3y)-3.23%
ROA(5y)-3.49%
ROE(3y)-104.01%
ROE(5y)-75.3%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-1.28%
ROICexc growth 3YN/A
ROICexc growth 5Y-2.31%
OM growth 3YN/A
OM growth 5Y-3.2%
PM growth 3YN/A
PM growth 5Y-1.8%
GM growth 3Y-0.58%
GM growth 5Y0.38%
F-Score6
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.52 | ||
| Debt/FCF | 10.72 | ||
| Debt/EBITDA | 4.01 | ||
| Cap/Depr | 75.68% | ||
| Cap/Sales | 5.22% | ||
| Interest Coverage | 1.96 | ||
| Cash Conversion | 77.16% | ||
| Profit Quality | 96.73% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 1.23 |
F-Score6
WACC7.59%
ROIC/WACC0.88
Cap/Depr(3y)51.28%
Cap/Depr(5y)60.48%
Cap/Sales(3y)5.24%
Cap/Sales(5y)7.44%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)176.79%
EPS 3YN/A
EPS 5Y-8.99%
EPS Q2Q%95.08%
EPS Next Y66.92%
EPS Next 2Y28.44%
EPS Next 3Y24.65%
EPS Next 5Y0.65%
Revenue 1Y (TTM)-5.07%
Revenue growth 3Y64.71%
Revenue growth 5Y-0.98%
Sales Q2Q%5.37%
Revenue Next Year-0.88%
Revenue Next 2Y4.87%
Revenue Next 3Y5.13%
Revenue Next 5Y1.8%
EBIT growth 1Y-17.78%
EBIT growth 3YN/A
EBIT growth 5Y-4.15%
EBIT Next Year62.25%
EBIT Next 3Y28.64%
EBIT Next 5Y11.82%
FCF growth 1Y72.12%
FCF growth 3YN/A
FCF growth 5Y6.94%
OCF growth 1Y60.13%
OCF growth 3YN/A
OCF growth 5Y-4.42%